Harry Esteve, The OregonianSen. Margaret Carter (left), seen here earlier this year talking with John Rojas in Klamath Falls about state spending priorities, has been appointed to a top position at Department of Human Services.

Carter was a mother and community volunteer before she became the first African American woman to be elected to the Oregon Legislature in 1984.

Carter said Sunday that she intends to submit a letter to the Senate president Monday making her resignation official as of Aug. 31. She will start work as the state's Deputy Director for Human Services Programs on Sept. 1.

"It is my desire in life to make a difference for our children, our seniors and the disabled," Carter said. "Those are the areas that I worked in in the Legislature. That is what I want to continue to do."

The Multnomah County Commission will appoint a replacement to represent Carter's Northeast Portland district in the state Senate. By law, the commission must consider names submitted by the local Democratic precinct committee.

In her nearly 25 years as a state lawmaker, Carter moved from the House to the Senate, rising in the Democratic leadership ranks. This year, Carter served a pivotal role in writing the state's 2009-11 budget as co-chair of the Joint Ways and Means Committee.

Senate President Peter Courtney credits Carter for bringing "a lot of wisdom to the Senate because of her age, her ethnicity, her background and her struggles in life."

"She is the heart and soul," said Courtney, D-Salem.

Carter, 73, said it's tough emotionally to leave the Legislature. But she has been thinking about her next chapter and is interested in working with the Department of Human Services at a time when the agency is serving record numbers of people.

Carter served several years on the Human Services budget subcommittee. She has had a private sector career as a counselor and faculty member at Portland Community College. She is also a past president and CEO of the Urban League of Portland.

"I'm at a period in my life where I can go off with friends who are traveling the world and playing bridge. If I had any sense at all, that's what I'd be thinking about," she said. "But I'm thinking about how we as a state can do a better job of delivering services. I feel I still have something to offer."

Carter's annual salary will be $121,872. The deputy director position is new and will be paid for within the agency's existing budget, said Dr. Bruce Goldberg, Human Services director.

Goldberg did not conduct an outside search before hiring Carter. He said Carter had repeatedly expressed interest in joining the agency but conversations didn't begin in earnest until after the Legislature adjourned at the end of June. Goldberg and Carter said conversations about this job in no way influenced Carter's legislative or budget work.

On Sunday both Goldberg and Carter said they had talked separately to Gov. Ted Kulongoski's chief of staff. But both said neither the governor nor his staff played a role in her hiring.

"I met with the governor on Tuesday afternoon and briefed him on this," Goldberg said. "That was the first time I had spoken with him about it."

Last week, the governor's office confirmed that state Rep. Larry Galizio, D-Tigard, received its help in securing a job with the Oregon University System.

A new law passed by the 2009 Legislature creates the Oregon Health Authority, which will be responsible for overseeing all state health care services and moving Oregon toward health care reform. It also splits the existing Department of Human Services over the next two years -- with the Oregon Health Plan and other health operations migrating to the Health Authority.

Last month Goldberg named Tina Edlund, a longtime health policy analyst, as deputy director for the Oregon Health Authority. Like Carter's role, this is also a newly created position.

Carter will oversee the divisions for Children, Adults and Families; and Seniors and People with Disabilities, which will remain with the Department of Human Services after the split.

"I want to be certain that the interests of Human Services programs don't get lost in this transition," Goldberg said. "Margaret understands our programs and knows what needs to happen both from a legislative perspective and policy perspective. And she has strong connections to the community. It makes her an ideal choice to do this."